AUDUSD(DAILY): POSSIBLE UPTREND MOMENTUM
Overview:
We are presently on all-time major support on 0.70800 (Buyers' Zone) and it appears that price is finding it difficult to breakthrough hence a possible uptrend rally is imminent. This can also be confirmed with the present character of price not willing to continue the downward channel ABCD trend as you can see price not settling in comfortable at 0.67480 (on 3rd of Jan '19) as Buyers were quick to push price up to close @ 0.70050. Following this, we can see price bouncing off the support of the channel EFGH confirming the formation of an upward channel. However, there are two ways to view the price action on this pair. A possible downtrend or uptrend depending on how price relate with Resistance Q (0.71390).
Signal/Entry confirmation:
We shall sell if price rejects the resistance Q @ 0.71510 significantly (i.e. a bearish engulfing candle cutting through the major support @ 0.70800) which doesn't seem likely with the present look of things. However, if price breaks the Resistance Q and the resistance @ 0.71510 simultaneously to the upside with an engulfing bullish candle; we shall wait for a retest on Resistance Q to join the rally up.
Uptrend Speculation:
Potential TP @ 0.75260 (385pips) and SL @ 0.70340 (105pips)
Downtrend Speculation(appears to be unlikely):
Potential TP @ 0.68170 (445pips) and SL @ 0.72240(135pips)
We are presently on all-time major support on 0.70800 (Buyers' Zone) and it appears that price is finding it difficult to breakthrough hence a possible uptrend rally is imminent. This can also be confirmed with the present character of price not willing to continue the downward channel ABCD trend as you can see price not settling in comfortable at 0.67480 (on 3rd of Jan '19) as Buyers were quick to push price up to close @ 0.70050. Following this, we can see price bouncing off the support of the channel EFGH confirming the formation of an upward channel. However, there are two ways to view the price action on this pair. A possible downtrend or uptrend depending on how price relate with Resistance Q (0.71390).
Signal/Entry confirmation:
We shall sell if price rejects the resistance Q @ 0.71510 significantly (i.e. a bearish engulfing candle cutting through the major support @ 0.70800) which doesn't seem likely with the present look of things. However, if price breaks the Resistance Q and the resistance @ 0.71510 simultaneously to the upside with an engulfing bullish candle; we shall wait for a retest on Resistance Q to join the rally up.
Uptrend Speculation:
Potential TP @ 0.75260 (385pips) and SL @ 0.70340 (105pips)
Downtrend Speculation(appears to be unlikely):
Potential TP @ 0.68170 (445pips) and SL @ 0.72240(135pips)
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